INC.: Are you saying that waste is an inevitable consequence of growth?
BRICKLIN: Not necessarily. I'm just saying I wanted to do something different at Software Garden. I wanted to take a minimalist approach, to be lean and mean. I wanted to constantly throttle back and ask, How can I minimize the number of people I need? I've learned an awful lot of things that way, and it's been good for customers, too.
INC.: How's that?
BRICKLIN: For example, we did an upgrade for thousands of customers with only one person doing the fulfillment. And we figured out how to cut the order-processing time in half by having our customers fill out the mailing labels. I got that idea from another company. At Software Garden I spend much more time talking to other companies and other presidents than I did at Software Arts. There's no better way to learn how to do things right.
INC.: Tell us about that.
BRICKLIN: Oh, I've learned all kinds of things by hobnobbing. How to find the right vendors. How to think about pricing. How to approach distributors. What kind of deal you can do with this or that company. Somebody will say, "Oh, you're dealing with so-and-so. Well, they'll drop this clause if you ask them." I would never have known that otherwise. You only pick up those things from other companies. That's why I'm involved in so many trade organizations. They are a great help when you're trying to be lean and mean.
INC.: You use that phrase an awful lot. What exactly do you mean by "lean and mean"?
BRICKLIN: It just means you use zero-based budgeting, that you think about every cent you spend and question whether it's necessary to get you where you want to go. Once you get bigger, you can take more risks with expenses. I don't question mine as much as I used to. But I'm still lean and mean compared with other companies.
INC.: How much was all this dictated by necessity? Were you really strapped for cash when you founded Software Garden?
BRICKLIN: No, I had enough money to last a year, because I could always go back to consulting. As it turned out, I went four months without any income -- from September through December 1985. We were profitable in January. It cost about $10,000 to launch the company.
INC.: Is that what you expected?
BRICKLIN: No, I expected the product to come out in October, but it always takes longer than you expect. I figured I could go a year before I'd try something else. In a pinch, I could always take a second mortgage on my house, although I don't recommend that. Fortunately, my lifestyle wasn't so high that I couldn't drop back if necessary.
INC.: That's probably an important factor.
BRICKLIN: It's very important. I tell M.B.A. students that the best time to start a business is when they get out of school. Not because they know so much, but because they're used to living like students.
INC.: Shouldn't they acquire some experience first?
BRICKLIN: Yes, but you have to watch out. While you're acquiring the experience, you may develop such an expensive lifestyle that you can't afford to take risks. You build up too much overhead in your personal life, and you can't drop back for a year or whatever it takes to get a business off the ground.
INC.: Still, it sounds as though your lean-and-mean approach is more a matter of principle than necessity.
BRICKLIN: That's true.
INC.: How did you apply it in practice?
BRICKLIN: Take our stationery and packaging. I decided I wanted something I could buy at the local copy shop, so my lead times would be short, but I was willing to put some money into a professionally designed logo, because I still wanted to connote quality. I hired a designer, and he gave me 10 designs with sketches. Rather than go back and forth with him, I just chose one. I said, "OK, this one is fine. Go with it." As it turned out, we won an award for the design. Yet it was very inexpensive -- well, a little more than $1,000, but it was worth it.
INC.: It's interesting. You said before that you didn't focus enough on the product at Software Arts. Now, you seem to spend almost all your time focusing on the product.
BRICKLIN: No, not really. I actually spend a significant portion of my time in public relations. I go to industry meetings. I talk to the press. I budget my time to hit the right parties on the cocktail circuit. Why? Because I've decided that -- rather than just advertising -- I can do a lot of my marketing with PR. That's a big part of my time. I'm also involved in industry stuff, such as intellectual property, which really doesn't affect my company in the short term.
INC.: But you could say that the PR is devoted to moving product.
BRICKLIN: Maybe in the long term, but not in the short term. Fortunately, I can afford to think long term because my products have been successful, and I've learned it pays off.
